Which of the following lines from an advertisement is an example of puffery?
A. Our new improved formula eliminates trans-fats.
B. More than three billion consumers have eaten our pies.
C. This automobile won a prestigious safety award for four yeas in a row.
D. We are a full-service travel agency that will help you plan and book your vacation.
E. Sleeping on our mattress is like floating on a cloud.
Answer: E
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Treasury stock or treasury shares are shares a firm has previously issued and later reacquired. Which of the following is/are true?
a. Some firms believe that their own shares provide a good investment. b. Evidence supports the notion that share prices often increase after a firm announces a share repurchase program. c. Share repurchases reduce common shareholders' equity and increase the proportion of debt in the capital structure, making the firm more risky and therefore less attractive to an unfriendly bidder. d. Some firms even borrow cash to repurchase shares, which affects the debt ratios even more than using already available cash to reacquire shares. e. all of the above
A 50 percent markup at retail is equivalent to a 100 percent markup at cost
Indicate whether the statement is true or false
Courts often rely on the common law as a guide to interpreting legislation.
Answer the following statement true (T) or false (F)
Physical distribution is the part of marketing that is visible to most customers.
Answer the following statement true (T) or false (F)